Friday, January 31, 2014

Why are we waiting for the Status Certificate?

Casa Condominium Toronto
You negotiated your offer on the property; based on other units that have recently sold and the ones that you have seen.  We know you have financing available to a certain level.   Now we are waiting through the 10 day period for the Condo Management Office to provide us with the status Certificate and Bundle.

It is available from some in print and other via Conduit online. The lawyers that I work with request an original Status Certificate with a Corporate Seal.   It is imperative that Corporate Seal and an original Signature are there.

Your bundle of documents that we are waiting for includes;
  • Condo Declarations
  • ByLaws
  • Rules and Regulation
  • Statement of valid Insurance
  • Most recent Audited Financial Statements

The Status Certificate itself declares; 
  • No Special assessments are contemplated
  • Current reserve status  <<  Do we have money or not
  • What the maintenance fee is
  • Correct parking 
  • Correct locker
  • Correct unit descriptions
  • Are the condo fees currently up to date?
  • % of Owner vs Tenanted in the building
  • Long Term plans for financial Capital Spending.

Once a Buyer has these in their hands they can make an intelligent decision about whether they want this building or not.  If you have a HUGE bill coming, why would you buy in?  10 day cooling off period does not apply to resale units.  NO TAKE BACKS

The condition is contained in the contract [Agreement of Purchase and Resale Condominium] for this reason for an additional 5 days once we receive the "bundle", with your lawyer.

Then we remove your condition and you have a firm and binding agreement.

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